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2020/2021

International Accounting Standards (IAS/IFRS) and Consolidation

Code: 43631 ECTS Credits: 9
Degree Type Year Semester
4315581 Advanced Accounting and Auditing OB 1 A
The proposed teaching and assessment methodology that appear in the guide may be subject to changes as a result of the restrictions to face-to-face class attendance imposed by the health authorities.

Contact

Name:
Francesc Gómez Valls
Email:
Francesc.Gomez@uab.cat

Use of Languages

Principal working language:
spanish (spa)

Teachers

Xavier Sentís Ros

Prerequisites

No specific requirement is necessary to complete the subject. The accounting consolidation process is addressed according to Spanish regulations. A part is analyzed the IAS / IFRS (mandatory for the preparation of the consolidated accounts of listed groups)

Objectives and Contextualisation

- International Financial Reporting Standards  (IFRS)

- Legal frame of the consolidation in Spain (NOFCAC, RD 1159/2010)

- Financial states consolidated

- Norms of consolidation

 

Competences

  • Apply the International Accounting Standards (IAS) and the International Financial Reporting Standards (IFRS) to the formulation of the consolidated annual accounts.
  • Know the Spanish and international regulations on groups of companies and consolidated annual accounts.
  • Manage information efficiently, distinguishing that which is important for economic and financial decision-making.
  • Solve problems in new or little-known situations within broader (or multidisciplinary) contexts related to the field of study.

Learning Outcomes

  1. Describe the different options offered by the IAS and IFRS for the structure of the annual accounts and the valuation standards.
  2. Identify the differences between the IAS and IFRS models for presenting financial information and the Spanish General Accounting Plan.
  3. Identify the international regulations on accounting (IAS and IFRS).
  4. Know the Spanish commercial regulations governing the preparation of consolidated annual accounts.
  5. Know the differences between IAS and IFRS valuation criteria and those of the Spanish General Accounting Plan.
  6. Know the proposals for new regulations drawn up by the IASB and their adoption process in the European Union.
  7. Manage information efficiently, distinguishing that which is important for economic and financial decision-making.
  8. Recognise and identify the differences between Spanish regulations and international regulations governing the preparation of consolidated annual accounts.
  9. Recognise the structure of the consolidated annual accounts of a group of companies under present-day law.
  10. Solve problems in new or little-known situations within broader (or multidisciplinary) contexts related to the field of study.

Content

PART 1:

 

CONSOLIDATION  OF FINANCIAL STATES AND RELATIVE NORMS TO THE ACCOUNTS CONSOLIDATED

 

1. INTRODUCTION And SPANISH RULES (RD 1159/2010 of 17 September 2010)

 

  1. Legal frame in Spain. The new regulation from 2010
  2. The combinations of business
  3. The annual accounting  consolidation statements

 

2. PRELIMINARY CONCEPTS THAT TAKE PART IN THE CONSOLIDATION

 

  1. Companies that take part in the consolidation
  2. Groups of societies: vertical groups and horizontal groups.
  3. Obligation to consolidate.

 3. STAGES OF THE CONSOLIDATION

 

  1. Homogenisation of the information
  2. Aggregation of the games. Eliminations.

 

 4. THE METHOD OF GLOBAL INTEGRATION

 

  1. Introduction to the method.
  2. Elimination investment-net heritage
  3. Goodwill of consolidation
  4. The external or external partners
  5. Elimination of results by internal operations
  6. Eliminations by financial operations between companies

 

5. METHOD OF PROPORTIONAL INTEGRATION

6. PROCEDURE OF PUT IN EQUIVALENCES (METHOD OF THE PARTICIPATION). ASSESSMENT OF THE INVESTMENTS IN COMPANIES ASSOCIATED

7. THE ANNUAL ACCOUNTS CONSOLIDATED

 

  1. General appearances
  2. Structure of the balance sheet consolidated
    1. Structure of the account of losses and gains consolidated
    2. The state of changes in the net heritage consolidated
    3. Information to provide in the memory consolidated.

 8. INTRODUCCION TO THE TAX CONSOLIDATED (groups to effects of taxation)

 

  1. Applicable legislation
  2. Main differences between the standard consolidation andthe tax consolidation
  3. The tax group like subject passive  (legal responsible person)  of the tax
  4. Definition of tax group
  5. Application of the diet of fiscal consolidation
  6. Tax base consolidated
  • Diagram of calculation and limits
  • Eliminations
  • Incorporations
  • Negative tax base
  1. Calculation of the tax quota consolidated
  2. Period
  3. Statements-settlements of the tax group

 

 PART 2

 

INTERNATIONAL STANDARD  OF FINANCIAL INFORMATION (IAS/IFRS)

  

SUBJECT 1. THE IAS/IFRS. The International Accounting Standard Board (IASB)

SUBJECT 2. GENERAL STRUCTURE  OF THE IAS/IFRS

SUBJECT 3. ADOPCION OF THE IAS/IFRS IN SPAIN

SUBJECT 4. MAIN DIFFERENCES BETWEEN THE SPANISH ACCOUNTING PLAN AND  THE IAS/IFRS

SUBJECT 5. LAST RULES  IN THE PROJECTS OF THE IASB

-          Income

-          Leases

-          Rules about fair  value and his measurement

SUBJECT 6. INTRODUCCION To THE DRAFT ON PRESENTACIONS FINANCIAL STATES (conjoint project IASB and US FASB)

Methodology

The educational methodology will be based in a combination of three types of activities:

- Activity directed: theoretical classes and practical classes of resolution of problems.

- Activity supervised: consistent in the realisation of  tutorial programme  and the realisation of exercises

 - Autonomous activity that divides in two parts:

* Part of study by part of the student (readings, research of information, etc).

* Autonomous activity in group devoted to the research of data and preparation of a report on the information that provides the memory of the annual accounts. Presentation and debate.

"The proposed teaching methodology may undergo some modifications according to the restrictions imposed by the health authorities on on-campus courses".

Activities

Title Hours ECTS Learning Outcomes
Type: Directed      
Practical classes 20 0.8 5, 2, 8
Theoretical sessions 45 1.8 5, 4, 9
Type: Supervised      
Tutoring and monitorin work in exercices 7.5 0.3 5, 8
Tutoring and monitorin work in writing 3.5 0.14 6, 8, 9
Type: Autonomous      
Cases, exercicis and writings 58 2.32 1, 3, 8, 9
Study of normatives and rules 88 3.52 5, 6, 2

Assessment

The system of evaluation and follow-up of the student divides in 4 modalities:

 

- Realisation of a global exercise on consolidation (20%)

- Realisation and presentation of a writing on IAS/IFRS (20%)

- Participation and assistance in class: 10%   (minimum assistance 75%)

 - Final exam: 50%   

  The final exam will make to final May after normal classes on consolidation

Minimum note in the examination: 4 points (on 10 points)

  

Process of Recovery

 "To participate in the process of recovery the students has to have been previously evaluated in a group of activities that represent a minimum of two third parts of the total qualification of the subject or module." Section 3 of the Article 112 ter. The recovery (Academic Rule UAB). The and the students have to have obtained a half qualification of the subject between 3,5 and 4,9. The proof of recovery will effect between 15 and 20 days after the final proof.. The student that present and surpass it will approve the subject with a note of 5. In contrary case will keep the same note.

 

Irregularities in acts of evaluation

Without prejudice to other disciplinary measures that estimate timely, and in accordance with the normative valid academician, "in case that the student make any irregularity that can drive to a significant variation of the qualification of an act of evaluation, will describe with a 0 this act of evaluation, with independence of the disciplinary process that can instruct . In case that produce diverse irregularities in the acts of evaluation of a same subject, the final qualification of this subject will be 0". Section 10 of the Article 116. Results of the evaluation. (Academic rule UAB)

 

Assessment Activities

Title Weighting Hours ECTS Learning Outcomes
Cases and exercices 20% 0 0 2
Exercices and writtings 20% 0.5 0.02 5, 6, 1, 7, 2, 10
Final exam 50% 2.5 0.1 4, 8, 9
attendence and participation in sessions 10% 0 0 2, 3, 8

Bibliography

IAS/IFRS

RD 1159/2010  About rules of consolidation.

RD 602/2016 that modifies the norms of consolidation

Resolutions of the ICAC